Asset Allocation Fourth Quarter 2021 KEY POINTS The level of growth and the level of policy support remain supportive but have declined marginally, leaving us pro-risk still but less so. Within equities, we prefer Europe, where economic fundamentals are improving and
Investors’ Outlook October 2021 “Envelopes please… and the winner is… Wall Street.” This is the result of our recent allocation review that saw us overweight US stocks at the expense of European ones. The slight change doesn’t alter our overall
Zowel het momentum als de vooruitzichten op lange termijn zijn gunstig voor beleggingen in de brede waardeketen rond hout. Van de aanplanting van bossen tot de verwerking van hout tot enkele van de meest innovatieve materialen. De Timber-strategie van Pictet
A compelling investment opportunity: Japanese equities offer attractively priced and more visible earnings growth for 2021 and beyond. Nevertheless, Japanese equities are currently trading at a discount to global equities. And Japan equity markets have outpaced major developed market equities both in 2020 and year-to-date in 2021 as the world seeks to transition to a post-pandemic recovery.
In this quickfire Q&A, Yoram Lustig, Head of Multi-Asset Solutions, EMEA, outlines the compelling reasons why investors should consider a strategic allocation to emerging market equities – as well as the benefits of employing active management in this increasingly diverse
IN SHORT Inflation concerns have picked up again as price pressures mount. Talks regarding tapering continue to intensify. Yields have surged globally following the more hawkish tone of central banks and questions regarding the transitory nature of inflation. Equity markets
Multi Asset Quarterly: Economic outlook The economic normalization continues, although at an uneven pace following the long Covid-related shutdowns. Further severe lockdowns look unlikely in most Western countries. Supply chain bottlenecks are blurring the near-term macro visibility. Inflation numbers have risen
CIO Views Markets responded to mixed data from the US and China and to the potential tapering from central banks. We are also seeing inflation (energy and food) and a deceleration in China. As a result, while staying neutral on
Thematic investing brings a new dimension to the usual asset class categories, resulting in fresh opportunities for investors to diversify portfolio risk and mitigate the impact of correlations between asset classes, sectors, regions and styles. Investing in themes is different
Some investors historically have seen Japan’s equity market as a constant source of disappointment. I can understand why. For 20 years, after Japan’s asset bubble burst and through the global financial crisis in 2009, it was a trader’s market. You
Theme of the month: EU Fit for 55 In July, the EU announced “Fit for 55” – a suite of measures to deliver a 55% reduction in GHG emissions by 2030 from 1990 levels. It included an enhancement of the
Value’s Travails and Recent Partial Recovery In mid-March 2020, we wrote in “This Too Shall Pass” that disruptions such as the Covid-19 pandemic are not permanent and that investors can look beyond immediate travails to an eventual return to normalcy.
Equities have remained buoyant over the past weeks despite some challenges (China regulation, Afghanistan crisis), primarily due to the exceptional earnings seasons in the US and Europe. Looking ahead, we identify three main themes: the spread of the Delta Covid
China, Japan, technology, and value have potential to shape global markets in 2021 and beyond. T. Rowe Price Insights on International Equities: The rapid rise of China to the world’s second‑largest economy is widely observed. Yet, investors appear to underappreciate China’s
It’s payback time for investors who have been seeing a return to favour of the equity value investment style after years of underperformance versus growth stocks. A sustainable investing approach in value equities can enable investors to benefit from attractive
Judging from the performance of equity markets alone, the past four to six weeks appear to have followed the theme of the previous 12 months: a relentless rally in risk assets. When other markets are considered, though, a very different picture emerges.
Deng Xiaoping is often considered the architect of modern China, having advocated a pragmatic approach to economic development and embraced the free-market system of western economies. However, many of the principles he endorsed have seemingly been turned on their …
Alpha Research organiseert samen met PGIM, Ossiam (een affiliate van Natixis Investment Managers) en State Street SPDR ETF’s een bijeenkomst waarin de vraag over inkomsten en inflatie centraal staat. In twee uur tijd krijgt u een overzicht van de asset
Special Europe: invest in the recovery In a nutshell As the European economy is recovering from the largest economic shock of modern history, we are revising our growth and inflation assumptions to the upside. Although the path to recovery is
BII Global weekly commentary Europe is in the spotlight this month, with a key European Central Bank (ECB) meeting and a pivotal German election that could have significant medium-term implications for the fiscal stance of Europe’s largest economy. We see
Equities have remained buoyant over the past weeks despite some challenges (China regulation, Afghanistan crisis), primarily due to the exceptional earnings seasons in the US and Europe. Looking ahead, we identify three main themes: the spread of the Delta Covid
Capital Markets Monthly Summer is coming to an end in the northern hemisphere. Whether the stock markets will begin to see cooler temperatures following the sharp price increases of these past few months, or conversely, whether we can expect an
Thematic equities in focus: After the rotation witnessed in Q1 2021, the second quarter was quieter, with elements of the inherent market volatility having subsided. However, investors continue to have questions around the prospect of inflation as economies continue to
Asset allocation: stimulus and vaccine offer enduring support Economic growth has clearly slowed in recent months thanks in large part to the spread of the particularly infectious Delta variant of Covid. Still, with monetary stimulus in plentiful supply and vaccination
Equities continue to march higher. Despite the coming taper, Fed policy remains accommodative, and a strong earnings outlook supports select stocks. Although COVID-19 hospitalizations have surged, last week investors focused on the FDA’s full approval of the Pfizer vaccine. Both
Upbeat outlook as Japanese market is highly geared to global recovery. While Japanese equities made solid progress during the first half of 2021, the TOPIX gaining 8.52%, year-to date (as of May 28, 2021), performance has ultimately disappointed, with Japan
Executive Summary Vaccine-driven reopenings propelled U.S. economic growth in the first half of this year, leading to a significant uptick in inflation. While PIMCO believes that today’s high levels of inflation will likely prove transitory, we believe the Federal Reserve
The textiles industry is one of the most pollutive in the world, emitting more CO2 than aviation and shipping combined. But a leading sports firm is showing one way the sector can embrace radical change. I love shopping for clothes
The return of volatility to China markets. China’s equity markets have been roiled by a combination of concerns in recent weeks, culminating in the fallout from the Archegos family office liquidations in late March. However, this volatility has retraced …
Value investing is coming in from the cold. After a decade of strong value outperformance in emerging market equities from 2001 to 2010 came a decade of sustained underperformance. In 2020, the value/ growth divergence in EM reached an extreme
CPI inflation was lower than expected in July. The slowdown in consumer prices was welcome news for markets, and supports the views of central bankers and others who have deemed this …
Key Points Rather than predicting what will happen to inflation in the future—a particularly arduous and humbling task—we ask a simple question: What can past inflation dynamics tell us about the equity market’s future returns? We propose two new investment
Marktvisie ESG-integratie: Klimaatrisico wordt steeds tastbaarder, zowel in de fysieke- als in de beleggingswereld. 2020 was, samen met 2016, het warmste jaar ooit sinds het begin van de metingen in 1880: de (oppervlakte) temperatuur bereikte een niveau van 1,02 graden
Zhikai Chen: On Saturday 24 July, China imposed stricter regulations on China’s education sector, including re-classifying tutoring companies as having “non-profit” status. The State Council officially released the Double Reduction (2R) policy. As a result, China education stocks plunged, and
Corporate profits continue to rebound at a tremendous pace and will comfortably exceed previous record levels this year. One year after the pandemic hit, we took a look at how our forecasts have changed. We expected an acceleration of existing
Conversations in the investment industry have been dominated by predictions about the path of the inflation rate and its implications for capital markets. In this article, we aim to turn these conversations upside-down. We propose two new investment signals, which
Investors may be concerned about how to protect their portfolios from the impact of higher inflation. Investments such as commodities, real estate and equities have historically outperformed when prices rise. But performance doesn’t tell the whole story. These asset classes
KEY INSIGHTS Our Asset Allocation Committee modestly decreased the allocation to equities recently, given elevated stock valuations and a moderating economic outlook. In our view, key performance drivers may peak in the near term, which could temper potential equity returns
China was first to recover economically from Covid-19. However, its stock exchanges do not reflect this: equities have been under pressure since the Chinese New Year. That should not be a surprise since China’s growth momentum has been fading. It
Smart Beta Compass The recovery trade turns to Quality, creating opportunity in Value and Dividends. Following a strong start to 2021, equity markets continued to move higher in Q2, as the further deployment of vaccines globally is helping critical markets
Asset allocation: Maintaining perspective There is no summer lull for investors this year. The global economy is powering ahead despite the resurgence of Covid-19 infections while inflationary pressures continue to build, particularly in the US. Then there’s renewed upheaval in
Global Investment Views The past weeks have confirmed that phase one of the ‘great recovery’ is now behind us. We have entered a new sequence: PMIs decelerating from their peaks and concerns about the spread of the Delta Covid19 variant
Executive Summary As inflation spiked in the second quarter of 2021, debate about its transitory or permanent nature became more heated. Yet, as is sometimes the case with broad controversies, a lack of definition goes with a lack of comprehension.
MID-YEAR LETTER FOR 2021 Asset Allocation Team: Equity Allocation Strategies Key Points The Value vs. Growth reversal is delivering returns, with a long runway left. The historic valuation gap between global Value and Growth stocks finally began its reversal. Our
Decarbonisation was one of the biggest themes of 2019 and 2020. Rightly so, we would argue. With the 2021 United Nations Climate Change Conference (COP26) taking place in November, this could be another important year for decarbonisation. Global temperatures are
Starting to play again Finishing Q2 on a High Developed equity markets ended June at record highs, reassured by signs of steady recovery and greater belief that inflation was transitory, thus delaying any necessary rate rises. Europe’s catch-up was also
NIEUWSBRIEF voor institutionele beleggers Content De opbouw van een Chinese aandelenportefeuille De Chinese economie: herstel en herbalancering Hoe kan China een groei-economie van betekenis blijven? 1 Een reis van duizend mijl begint met een enkele stap Gains Still to Be Found
We continue to favour staying long equities, and are prepared to increase our exposure in a dip, as investors bask in the sunshine of a global economy in mid-cycle. From a strategic perspective, the current market environment is increasingly challenging
Waarde weer op waarde geschat De door grote Amerikaanse technologie gerelateerde bedrijven veroorzaakte bubbel heeft voor langdurige problemen gezorgd voor de value factor. Sinds de aankondiging van de succesvolle ontwikkeling van coronavaccins, begin november 2020, is die trend doorbroken. De
Is pent-up consumer demand the key to unlocking value in Europe? In this article, John Bennett, Director of European Equities, considers some of the meaningful trends he believes could drive positive momentum in the region. Key takeaways As we progress
